Invest with tailwinds.
Power up with factors to help modernize your investment
approach and help target specific drivers of return.
For illustrative purposes only.
Traditional style boxes
Value
Large
Medium
Small
Blend Growth
Move beyond style boxes with factors
Seek outperformance
Value Quality Momentum Low volatility
Seek reduced risk
Traditional style boxes can be helpful for organizing investments, but they
often overlook the underlying drivers of risk and return. A factor-based
approach adds more structure and insight to portfolio construction by
focusing on characteristics shown to historically be long-term drivers
of return.
Traditional style boxes were built to categorize stocks by broad traits, but
factor investing takes a more research-driven approach. It still organizes
stocks, but with a clear objective in mind. Factors help identify securities
with attractive risk and return characteristics and filter out those that
don't align with long-term market dynamics. The result: portfolios
designed to work with the market's persistent drivers of return, not
against them.
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